MAS brings Singapore regulations in line with global rules on OTC derivatives

Fears that a different approach to over-the-counter derivative regulations in Asia could prompt regulatory arbitrage with Europe and North America have been laid to rest by Singapore’s February consultation on OTC derivatives, explains Cindy Leiw of Isda

The need to bring fundamental change to the way over-the-counter derivatives are cleared was emphasised by the Group of 20 (G-20) leaders at the September 2009 Pittsburgh Summit when they mandated that all standardised OTC derivatives contracts “should be traded on exchanges or electronic trading platforms, where appropriate, and cleared through central counterparties by end-2012 at the latest. OTC derivative contracts should be reported to trade repositories.”  

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